Property developer MCL Land has announced that its Q3 net profit declined 91 percent to US$8.84 million, from US$96.4 million last year, as Q3 sales dived 83 percent to US$46.58 million due to lower revenue from completed projects.
Earnings per share in the third quarter plunged to 2.39 US cents from 26.06 US cents a year ago.
“Market conditions have remained satisfactory in the third quarter of the year due to positive economic conditions,” said MCL Land in a statement. “The implementation of recent government policies on Aug 30, 2010 has, however, moderated demand and price expectations in the residential property market.”
The developer’s latest project, The Peak@Balmeg, a 180-unit condo in the Pasir Panjang area, is expected to be launched in Q2 next year.
Meanwhile, property sales of MCL Land slid 14 percent to US$362.16 million in the first nine months of 2010, while net profit jumped 28 percent to US$171.76 million, driven mainly from sales of two completed projects – D’Pavillion and Waterfall Gardens.
The developer’s nine-month results also included the reversal of a write-down on The Estuary project worth US$51 million, it said.
Currently, MCL Land is in the process of being delisted from the Singapore Exchange due to low trading activity, small free float and compliance costs.
Additionally, Hong Kong Land, which owns a 78.3 percent share of MCL Land, announced in August that it plans to acquire MCL Land shares it does not own at $2.45 a piece.